Soybean Farmers Recognize Biodiesel Board

USBlogoThe people who grow the most popular feedstock for biodiesel are recognizing the board that promotes the green fuel, and in turn, promotes the commodity and a market developer who is helping promote soybeans. The United Soybean Board (USB) recently awarded its Excellence in Oil Award to the National Biodiesel Board (NBB) and its Outstanding Achievement Award to international aquaculture market developer Michael Cremer, Ph.D.

“The board is excited to have the opportunity to honor both Dr. Cremer and NBB and thank them for their contributions to the U.S. soy industry,” says Bob Haselwood, USB chairman and soybean farmer from Berryton, Kansas. “Both recipients have played a large role in moving our industry forward, and for that we are extremely grateful.”

Biodiesel is one of the most researched renewable fuels on the market, and, as an advanced biofuel, one that is leading the way in the market. None of this would have been possible without the expertise and dedication of NBB. Checkoff-funded research shows biodiesel has added 74 cents per bushel to the price soybean farmers receive, increased domestic crush and returned value to the entire soybean industry – even those on the meal side of the equation.

“The National Biodiesel Board’s partnership with the United Soybean Board is the perfect example of teamwork that hits the ball out of the park every time,” says NBB CEO Joe Jobe. “As a key customer of U.S. soybean oil making a significant contribution to soybean profitability, we are truly honored to be recognized.”

Cremer, the U.S. Soybean Export Council’s international aquaculture senior program adviser, has dedicated more than 30 years to helping the U.S. soy industry realize its potential with a growing consumer of soy. Through his work in aquaculture, he helped the Asian aquaculture industry become a more sustainable industry that is using more U.S. soy every year in fish feed.

“I am deeply honored to receive this award,” says Cremer. “Working with the U.S. soybean industry has been the highlight of my career. I have been doubly blessed, to have had one of the best aquaculture jobs in the world and to work with folks that I call both colleagues and friends.”

Illinois Soybean Growers Launch 20% Biodiesel Club

B20clubSoybean growers in Illinois are recognizing fleets in the state that run on a 20 percent blend of biodiesel, B20. This news release from the Illinois Soybean Association (ISA) says the group has partnered with the American Lung Association in Illinois to launch the B20 Club.

“B20 offers economic and environmental benefits to the fleets that use it, so we wanted to bring these leading fleets together and recognize them for taking the initiative to move up to B20,” says Rebecca Richardson, ISA biodiesel lead. “We’ll also provide resources for our B20 Club members, and others in the state, who have questions about how to use biodiesel in their fleets.”

Inaugural members include:

The Fleet Services Division of Public Works Department in the City of Evanston, Ill., which operates 366 units that include all diesel police and fire vehicles, heavy equipment, utilities and forestry departments and pool vehicles and parks and recreation buses.
Cook-Illinois Corporation; Kickert School Bus Lines, Inc., one of their leading subsidiaries which also is one of the largest family-owned and -operated school bus contractors in the country, runs more than 2,100 school buses every day.
Peoria CityLink operates 58 buses and 35 Paratransit vans that carry three million passengers annually.
R&N Trucking LLC, with 17 trucks that together travel more than a million miles a year.
S.K. Davison, a family-run business specializing in local and regional hauls with 18 trucks travelling approximately 800,000 miles per year.
G&D Integrated, serving central Illinois for more than 100 years with transportation, freight transfer and storage services, and currently more than 400 long-haul trucks.

The six members of the B20 Club run more than 2,700 vehicles burning more than 2.2 million gallons of biodiesel. That cuts carbon dioxide emissions of more than 253 tons — a reduction the equivalent of taking 48 cars off the roadway.

EPA Delay Continues Uncertainty for Biodiesel

The biodiesel industry and soybean growers weighed in on the EPA decision today to delay 2014 volume requirements under the Renewable Fuel Standard (RFS).

nbb-advanced“This Administration says over and over that it supports biodiesel, yet its actions with these repeated delays are undermining the industry,” said National Biodiesel Board Vice President of Federal Affairs Anne Steckel. “Biodiesel producers have laid off workers and idled production. Some have shut down altogether. We know that fuels policy is complex, but there is absolutely no reason that the biodiesel volume hasn’t been announced. We are urging the Administration to finalize a 2014 rule as quickly as possible that puts this industry back on track for growth and puts our country back on track for ending our dangerous dependence on oil. We also urge them to move quickly on 2015 so that we don’t repeat this flawed process again next year.”

ASAlogo1“The continued delays create great uncertainty for the biodiesel industry and soybean farmers and limits the industry’s ability to invest and expand,” said American Soybean Association President Ray Gaesser. “The Proposed Rule was unacceptable and would have taken biodiesel backward from the amounts produced and utilized in 2013. However, ASA believes that EPA can and should finalize a 2014 rule that sets the biomass-based diesel volumes at or above the nearly 1.8 billion gallons that were produced and consumed in the U.S. in 2013.”

NBB: Soy, Livestock and Biodiesel Go Together

As the world celebrated World Food Day yesterday, the folks at the National Biodiesel Board (NBB), along with their friends at the American Soybean Association (ASA), make the case that the biodiesel industry, soybean growers and livestock producers are an important part of the food chain.
NBBworldfoodday1
“The world has a protein gap that needs to be filled,” said American Soybean Association World Initiative for Soy in Human Health Chairman Andy Welden. “Our crop offers soybean meal for livestock feed and human food, which at the same time, creates an abundant supply of soybean oil for biodiesel.”

October 16 is annually recognized as World Food Day. The 2014 Theme is Family Farming; Feeding the world, caring for the earth. The United States produces more than 3.2 billion bushels of soybeans a year, offering an abundant supply of meal for human foods and livestock feeds as well as oil for biodiesel and other uses. U.S. soybean growers also participate in support sustainability programs for conservation and other environmental practices.

NBB also pointed that increased biodiesel production benefits poultry and livestock farmers, as increased amounts of soy oil for biodiesel production also means more soy meal is available for livestock feed and human food. The group added that, according to the United Nations, 805 million people are estimated to be chronically undernourished in 2012–14. But that number is actually down more than 100 million over the last decade, in no small part because of the ASA’s World Initiative for Soy in Human Health (WISHH) that assists developing country entrepreneurs and leaders in filling the “protein gap” with nutritious soy-based foods as well as livestock and aquaculture feeds.

Along with reducing the cost of livestock feed, biodiesel also adds value to animal fats. In 2013 demand for fats and oils for biodiesel production increased the value of beef tallow an estimated $567 million, pork fat an estimated $165 million, and poultry fat by more than $51 million, making the production of animal protein more economical.

Cavitation Tech Inks Deal for Biodiesel, Food Oil Reactor

cti-logoMaker of devices and systems for refining edible oils and biofuels, including biodiesel and ethanol, Cavitation Technologies, Inc. (CTi) will have one of its reactors installed at a soybean processing plant. The company’s agreement with Desmet Ballestra Group will see CTi’s vegetable oil refining system process approximately 500 tons of soybean oil with full installation and operations coming in 2015.

President Igor Gorodnitsky comments, “We are excited to have our first system sale in fiscal 2015. We believe that fiscal 2015 will encompass a combination of the benefits our technology brings in vegetable oil refining, production of ethanol and biodiesel, water and petroleum treatment. Our invaluable relationships with our licensees, the Desmet Ballestra Group and GEA Westfalia provide our company with very strong business partnership with global technology leaders.”

CTi anticipates approximately $350,000 in revenue from this sale. This is CTi’s 12th system put in North America.

B10 Biodiesel Blend in Minnesota a Success

msga-logo1The first summer of Minnesota running a 10 percent biodiesel (B10) mandate is being called a success. The Minnesota Soybean Growers Association (MSGA) says as the state moves back to a B5 mandate over the winter months, the group is celebrating how well the higher blend made mostly from its soybeans went.

“The implementation of B10 went very well,” said George Goblish, President of the MSGA. “I think we alleviated the concerns of truckers and auto manufacturers.”

Steve Howell, president of MARC-IV Consulting, said Minnesota has proven biodiesel blends can be a high-quality fuel at the retail pump level.

“The stability of the product in Minnesota far exceeded the stability specs, and people in Minnesota can feel good about the fuel they are getting,” he said.

Howell said the high quality of B10 in Minnesota at the pump is because of the quality control measures in place throughout the state.

Officials from the fuel consulting company MEG Corp. say the B10 easily met and exceeded the key quality indicator of oxidative stability, a measure of degradation caused by exposure to oxygen. This means consumers can expect the B10 they buy to be good for at least a year after purchase, allaying fears some automobile groups had that the green fuel would drop in quality by the time it hit fuel tanks.

From now through April 1, 2015, Minnesota goes back to a 5 percent biodiesel blend, with B10 kicking back in after that for the next summer.

FAPRI: Biodiesel, Ethanol Feedstocks Bigger than Expected

FAPRI logoA new report shows that the main feedstocks for biodiesel and ethanol, soybeans and corn, are going to have bigger harvests than previously expected. The Food and Agricultural Policy Research Institute at the University of Missouri says while the big crops will push prices for those feedstocks down – even further down than what was projected just a couple of weeks ago – soybean and corn prices will recover a bit as markets adjust.

– Larger corn and soybean crops translate into lower projected 2014/15 prices for many grains and oilseeds. Corn prices drop to $3.50 per bushel, soybeans to $9.92 per bushel… In all … cases, these projected prices are close to the midpoint of the price ranges reported in the September USDA World Agricultural Supply and Demand Estimates.

– Larger crops in 2014/15 also result in larger beginning stocks and total crop supplies in 2015/16. As a result, corn and soybean prices for next year’s crop are lower than projected in August. Corn prices average $3.80 per bushel in 2015/16, and soybean prices drop to $9.04 per bushel.

– Prices recover as markets adjust. Corn prices average $4.10 per bushel, soybeans average $10.21 per bushel … over the 2016‐18 period.

Previously, FAPRI said that corn prices would stay at about $4 per bushel for corn, but the new, bigger numbers for yield estimates push those prices down even more.

Minnesota “Spills Beans About Biodiesel”

saintsbaseballWhat could be more All-American this time of year than baseball… and biodiesel! This article from the Minnesota Farm Guide says the folks at the Minnesota Soybean Research & Promotion Council (MSR&PC) are combining the two truly patriotic loves during their “Spilling the Beans About Biodiesel” night at the St. Paul, Minnesota Saints baseball game at Midway Stadium on Tuesday, July 8.

Fans at tailgating can receive a free biodiesel t-shirt when they post a photo of themselves with the Saints’ cow mascots on social media, using the hashtag #BreatheBetterMN. Other events at tailgating include additional giveaways, a super hybrid Metro Transit bus that runs on biodiesel and more consumer-friendly information about biodiesel.

Prior to the Saints game on July 8, Minnesota Soybean will promote a coupon on their social media sites that could get game-goers a free $10 gas gift card. The first 50 people to bring the biodiesel coupon to their tailgating booth will receive a gas card.

Local media are being welcomed to the event with a chance to meet with and interview Minnesota soybean farmers who grow the feedstock for biodiesel. Contact Abby Bastian at abastian@wideopenthinking.com or 507-766-1038 for more information.

Biodiesel Helps Fuel Monsanto’s Profits

Monsanto_logoThe world’s biggest agriculture company says it will double its profits by the year 2019, and it’s crediting biodiesel, at least indirectly and in part, for that growth. This article in the Globe and Mail says Monsanto is cashing in on the growth in soybeans, which is being helped by biodiesel growth.

Sales in Monsanto’s soybean business rose by 24 per cent to $816-million in the third quarter, and corn revenue fell by 16 per cent. “I think corn had a good year, not a great year. [Soy]beans picked up a lot of the slack,” said [Monsanto chief executive officer Hugh] Grant, who is forecasting “the decade of the soybean.”

U.S. prices for soybean meal in the United States have risen by 48 per cent since the beginning of 2012, driven by rising production of biodiesel and growing demand from livestock producers. Soybean meal has become a popular and inexpensive source of protein for farm animals – especially pigs. Chinese hog producers, scrambling to meet rising demand for pork, have been among the biggest buyers of the U.S.-grown soy.

Farmers have responded to the new demand. Canadian growers expected to seed a record 5.3 million acres of soybeans this year, up more than 16 per cent over 2013, according Statistics Canada. In the United States, growers planned to seed a record 81.5 million acres this year, a 6-per-cent increase over last year, according to the U.S. Department of Agriculture.

Monsanto also announced a share buyback worth $10 billion and raised its short-term profit outlook for 2014, which helped boost its shares by 5 per cent this week.

Worldwide Biodiesel Production to Hit Record

oilworldBiodiesel production worldwide is expected to hit a record this year, with higher mandates in South America expected to help fuel the climb. This article from Bloomberg quotes an Oil World report that shows biodiesel production could rise by about 8 percent to 29.1 million tons this year.

Brazil’s biodiesel inclusion mandate will rise to 6 percent in July from 5 percent, climbing later to 7 percent, according to Oil World.

“Assuming that the higher mandates will be largely fulfilled, Brazilian biodiesel production may increase by 17 percent to 3 million tons in 2014,” Oil World said.

Production in Brazil may show a “further massive increase” to 4 million to 4.1 million tons next year as 7 percent biodiesel inclusion is mandatory year-round, according to the industry researcher.

The report goes on to say that palm oil is gaining importance as a feedstock, making up about one-third of the world’s biodiesel production. Soybean oil for biodiesel is also expected to rise this year, primarily in the U.S., Brazil and Argentina.